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Stock impact report

Networking now 30% of HPE revenue but over half of profits [Yahoo! Finance]

Hewlett Packard Enterprise Company (HPE) 
Last hewlett packard enterprise company earnings: 3/3 04:05 pm Check Earnings Report
US:NYSE Investor Relations: investors.hpe.com
Company Research Source: Yahoo! Finance
The analyst who called NVIDIA in 2010 just named his top 10 AI stocks. Get them here FREE There's a line buried in HPE's latest earnings commentary that tells you everything about where this company is headed. An HPE executive put it plainly: "Networking, which now represents 30% of our revenue and more than half of our profits." That single sentence is the thesis. Hewlett Packard Enterprise ( NYSE:HPE ) just posted Q1 FY2026 total revenue of $9.3 billion, up 18% year over year, with the networking segment doing the heavy lifting. Networking revenue hit $2.706 billion, up 151.5% year over year, driven almost entirely by the Juniper Networks acquisition that closed in July 2025. The standout sub-segment? Data center networking surged 382.6% year over year. But revenue growth alone isn't the story. The real story is margin mix. GAAP gross margin expanded 670 basis points year over year to 35.9%, and non-GAAP operating margin expanded to 12.7% from 9.9%. Networking, with its softw Show less Read more
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